Electricity bites us all doesn’t it?

   Electricity is the sun and we pay dearly for it.  It is convenient and the world is built on it and lives by it.  We do what we do today mainly because of electricity.  The world evolved into a supplicating without thought quibbling fool for energy. 

   Things have come along way.  We now have a world that has seen the face of competition in this regulated industry but a small shaving off the retail price hasn’t flattered anybody.  Company electric service customers want more from competition.  Software analysis, aggregation, peak demand, load factor considerations, infrastructure changes and a host of other options can assist where the electric company has no incentive to notify the business about.

   Energy software abounds in the realm of risk factor assessments, energy portfolio management and energy block buying.  The standard product offering by electricity providers is a fixed rate product for your load factor.  This is just option pricing but it appears to be tailored to your company but it isn’t as tailored as you might be led to believe.

   With the correct software, energy manager, or energy consultant you can buy the right amount of electricity you need on the commodities market in standard blocks.  For some companies this seems like something too far away from their needs but it’s much simpler then it may look at first glance.  For instance Texas has ERCOT which oversees the Deregulated industry.  If for any reason something goes wrong in the system you still receive your power.  This is a safe guard so Texas companies can feel safe while they look for competitive electricity rates.  A simple call to an energy broker or aggregator is all a company needs to participate in buying commodity priced electricity without the large retail margin.  Many supposed energy brokers and aggregators are nothing more then fly by night Enron salesmen, so buyer beware.  You want to look at their website and see exactly how they do business.  They should be licensed by the state to aggregate companies together.  They should also have the tools to buy commodity energy blocks that can be used on a 24 x 7 time frame.  Risk management is the key to a good energy broker and aggregator.  These energy consultants can add hundred’s of thousand’s and occasionally millions to your bottom line. 

•  In Summary: Call an energy broker after reviewing their site.
• Find out if they can buy the energy in commodity blocks.
• Ask them if they have a pool of providers to buy from.
• See their risk management strategy and its track record.
• Be involved in the process.
• Finally Ask for references.